Re Contract

Crest Nicholson PLC
24 May 2001



Crest Nicholson PLC

Crest Nicholson PLC signs partnership contract for development of Attwood
Green, Birmingham



Crest Nicholson PLC ('Crest') yesterday signed an innovative partnership
contract with Optima Community Association and Birmingham City Council for an
urban regeneration project on the 61 acre Attwood Green site in Birmingham
city centre. The development has an estimated project development value of
£135m and is the seventh major mixed-use scheme to be undertaken by the Group.
Crest's selection to undertake the development was announced at its
Preliminary results on 30th January, 2001.

The Attwood Green site is in a prime city centre location, close to Broad
Street and Brindleyplace and adjacent to the Mailbox.  It will incorporate in
excess of 1000 homes, and 200,000 sq ft of mixed commercial space including
offices, hotels, retail and food and leisure outlets.  An outline planning
application will be submitted in August 2001 with an anticipated build start
in early 2002.  Site preparation will begin with an initial investment into
new infrastructure within the development.  This work will be fully funded
from capital receipts arising from mixed-use development sales on the site.

Commenting today John Callcutt, Chief Executive, said:

'This project represents one of the UK's largest urban renaissance schemes and
will transform Birmingham's south west city centre.  It is a great achievement
for Crest to secure such an exciting project of this size and we are delighted
to be part of the city centre's revitalisation.  We recognise that successful
regeneration requires a strong partnership and this is what we have with
Birmingham City Council and Optima.'

Enquiries:

Patrick Handley / Kate Miller         Brunswick           Tel: [phone]



Notes to Editors

1.  Crest Nicholson PLC ('Crest') is one of the country's leading developers
    of mixed-use urban regeneration schemes.  Crest recognises that
    successful regeneration requires a strong partnership between developers,
    owners and planning authorities alike.  Committed to realising the urban
    renaissance of our cities, Crest also aspires to create vibrant socially
    inclusive communities.  Attwood Green provides an exciting opportunity
    for these values to be demonstrated in practice in partnership with both
    Optima Community Association and Birmingham City Council.
    
2.  Optima Community Association is a community-led housing association,
    formed from a stock transfer in 1999. Optima recognises that regeneration
    is not just about physical improvements, but also about tackling social
    and economic factors. Residents have a prominent role in this process.
    The Attwood Green project is unusual in that all income produced from
    asset sales will be re-invested directly back into the area for the
    benefit of residents.
    
3.  Birmingham City Council is the biggest city council in the UK, with an
    average turnover in excess of £3bn.  Earlier this year the City Council
    won the coveted 'Beacon Council' status from the government for its
    approach to regeneration.